RE:RE:RE:warrants?Kaiser999 wrote: How would you lose 3.50 a share?
you could buy the warrant for .70, then buy the share for $15.00.
it would cost $15.70 per share, wouldn't you lose $.60 per share at current price of $15.10.
perhaps im missing something
Cormark's new Price Target is 27 so lets use it for returns for stocks vs warrants.
1. Invest in stock says $16 rate of return will be 27/16-1 or 68%. Not bad.
2. Invest in 5 warrants for cost of 3.50. You excercise the warrants when price is 27 so your profit will be 27-(15+3.50)=8.50 on an investment of 3.50. Return will be 8.50/3.50-1=143%
You don't really need to go thru the excericise of buying and selling the stock as the value of warrants should give you about the same profit.
This assumes the price of 27 is reached before Excercise Date.